Texas contractor license application 2025

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The State of Texas does not require a General Contractor Business License. However, if your business is doing construction in Texas, you may still be required to comply with other licensing laws at the state or local level.
How to Get a Texas Contractor License: Step-by-Step Guide Establish a Business Entity in Texas. Pick Your Texas Contractor License Type. Meet the Texas Contractor License Requirements. Get a Texas Contractor License Bond. Submit Your License Application.
Businesses selling tangible personal property or taxable services will need to obtain a sales and use tax permit from the Texas Comptroller of Public Accounts. Businesses may also have to register with the Secretary of State and file an annual franchise tax report.
If you dont choose a specific business structure, youll be considered a sole proprietor as long as you work alone. If you hire employees or work with another professional without registering your business, you can face penalties and legal consequences.
Most states put a financial limit on what you can do without a contractors license usually limiting jobs to $500, $1,000, or even $3,000. However, in Texas, that isnt the case. There are currently no limits on job size for unlicensed contractors.
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People also ask

Does a 1099 contractor need a business license? Whether you need a business license as an independent contractor depends on your state and local laws. Most state laws dont require independent contractors to have a business license, except for Alaska and Washington state.
While the State of Texas does not require contractors to be licensed, builders should check with the applicable city, county and/or Homeowner Association regarding any local regulations regarding contractor oversight.
The state of Texas doesnt require general contractors, home improvement specialists, or handyman services to hold a license. But remember: The area in which youre working might have other ideas on paperwork. In Texas, contractor license bonds are enforced at the city or county level.

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